Spa Management

Hire Education: Employing the Right Therapists can Protect your Business from Future Legal Woes

The field of massage therapy and bodywork has grown to include hundreds of schools and several hundred thousand therapists. On average, massage treatments generate 47 percent of a spas revenue, with an additional 15 percent of revenue coming from wet treatments. Treatment rooms take up an average of 39 percent of a spa's indoor space. Because of this incredible growth, the risk of litigation relating to massage therapists is an issue 110 spa can afford to ignore. The best way...

Advice on Entering the Spa Management Field

There are so many opportunities in spa management, yet a lack of qualified talent to adequately fill the need. How do you go about entering the field? Here is some advice: You can be successful as a spa owner without having the technical background of a service provider. Being a good massage therapist or esthetician is no guarantee of being a good spa manager or owner. In fact, the very qualities that make for a good technician can sometims impede...

Top 10 Challenges Every Spa Leader will Eventually Have to Face (With a Smile!)

Problem Why it Happens How to Solve it 1. Employees don't do what you want them to do Because you haven't shown them how to do it Open your mouth often and talk to your employees; show them how to do it and when to do it, and then show them how to do it better and when to do more of it; and how to smile when they're doing it. 2. Products don't sell Because you haven't made your...

Overcoming Self-Doubt and Fear: The Gateway to Career and Business Success

In his insightful book Before You Quit Your Job, (Warner Business Books, 2005), accomplished author and entrepreneur Robert Kiyosaki states, "The fear of failing is the primary reason why so many people do not succeed in life or are not as successful as they would like to be." Human potential guru Anthony Robbins describes personal "wealth wounds" as the negative inner beliefs that many people have about money and one's worthiness of it. Spiritual educator Dr. Wayne Dyer explains that...

How to Avoid Compensation Mistakes in Your Spa

1.Energize employees by getting them excited about their work, build team spirit, and provide a friendly working environment. Hire people with commitment (avoid part time when possible). 2.Consider a trial period before hiring full-time to avoid costly mistakes 3.Limit the use of Independent contractors. They are a liability because they cannot be managed or trained. Employ them primarily for ancillary services like laser hair removal, nutritional consultations, etc. 4.Define basic job responsibilities--Compensation is not only treatment-based, it is based on...

Strategies to Improve Spa Profitability

Get Comfortable with Business Generally, spa owners and managers must overcome business phobias. Unlike resort spa directors who must be comfortable with "crunching numbers", day spa owners are often poor financial managers. Spa owners often abdicate their finances to accountants who review financial statements, most times performing a "post mortem" on last month's records. Make Re-booking a Priority "Rescheduling drives everything; retained customers will account for 80% of your business's worth, but most often represent only 20% of your clientele,"...

Challenges to Spa Profitability

Ease of entry into the spa industry Increasing competition from the medical, hospitality, beauty, and fitness industries Inherited beauty industry traditions Extensive use of independent contractors (booth rental tradition) Out of control compensation costs that create ever-increasing losses Low margins; Similar to restaurants, spas have traditionally low margins (2% to 7% return on investment is common, vary rarely higher than 15%) Poor retailing skills and high commissions on retail 10% commissions in the spa industry versus 2% to 3% commissions...

Sample Table of Contents for a Day Spa Business Plan

1.0 SITUATION ANALYSIS 1.1 BUSINESS DESCRIPTION 1.2 OBJECTIVES 1.3 DEVELOPMENT BUDGET 1.4 COMPLETION SCHEDULE 2.0 AREA DESCRIPTION 2.1 LOCATION 2.2 POPULATION 3.0 PROGRAM FORMAT 3.1 TOUCH THERAPY 3.2 HYDROTHERAPY/ AROMATHERAPY 3.3 SKINCARE & SPA TREATMENTS 3.4 RELAXATION THERAPIES 3.5 CLIENT EVALUATION & EDUCATION 3.6 RETAIL SALES 4.0 MARKETING PLAN 4.1 ENVIRONMENTAL OVERVIEW 4.2 TARGET MARKETS 4.3 COMPETETIVE ANALYSIS 4.4 MARKETING COMMUNICATIONS 5.0 HUMAN RESOURCE STRATEGY 5.1 STAFFING PLAN 5.2 JOB DESCRIPTIONS 5.3 EMPLOYEE INCENTIVE PLAN 6.0 DEVELOPMENT STRATEGY 6.1 RECEPTION...

3 Tips to Prepare for a Spa Opening

Work in a local day spa before you open your own property. It is a great way to "dip your toe in the water before getting wet". You can see if you like the people and the day-to-day day spa environment. Attend some trade shows such as The International Spa Association Convention ( www.ispaconference.com ). That will give you a good overview of the industry, and allow you to network with other day spa owners. Understand that, to be profitable,...

Spa Start-Up Challenges

The key risks of a spa business are: 1. Not finding sufficient labor for your venture (highly skilled therapists down to spa attendants are in demand) 2. Running into cash flow problems 3. Not having any "demand generators" such as foot traffic or "curb appeal" as they call it; or having a nearby hotel, fitness center, or beauty salon, shopping, etc. That said, you should also look at the regional and local characteristics of your particluar spa project. Each location...

Pages